If passion fuels your entrepreneurial dreams, your business will become a reality. Following some practical advice will make the journey a more gratifying experience. Determine Need for Product or Service. Read articles and trade journals. Research your product, industry, competitors and consumers. Talk to potential customers to solicit their opinions. Visit locations to gauge the feasibility of whether or not your company will be a profitable investment. Develop a Mission Statement. A succinct mission statement outlining your business’ purpose will guide you as you develop your corporate identity. Choose a Name for Your Business. The name you select should be significant to what you are selling or to your corporate philosophy. It could also be a unique name that is memorable. Perform an extensive search to verify if the name is available using online directories, trademark office and secretary of state sites. http://regrec.co.la.ca.us/fbn/fbn.cfm
Kinko’s was named in honor of the founder’s kinky hair.
Choose a Business Structure. Learn the different types of corporate structures and choose one based on the relevant tax, financial and liability implications: Proprietorship, Partnership, Corporation, Limited Partnership, or a Limited Liability Company. http://www.irs.gov/businesses/small/article/0,,id=98359,00.html Identify a Location. Many businesses start out as a home-based business and develop into mail-order, online, and traditional storefronts. When selecting a physical location, consider its accessibility, pedestrian traffic, zoning laws, leasing terms, and demand for your product/service. http://www.ss.ca.gov/business/resources.htm Register with the City and State. To obtain a business license in Los Angles, you must file with the City Clerk and complete the process to file a Fictitious You need a Business Name. It may vary by state so check the links on the site below permit to have for your particular state. http://smallbusiness.findlaw.com/startinga garage sale business/starting-business-overview/starting-business-licenses-permitson your lawn guide.html in LA Research and Apply for Permits. There may be several permits that you need to secure from local, state and national levels before operating your business. http://www.permitplace.com/links/default.asp
Visit www.blackbutterfly.com and click on Resources for links to business development sites.
© 2005 black butterfly consulting 888.364.4222
Research Your Insurance Needs. In the age of frivolous litigation, it is crucial to protect yourself and your business with insurance. Most companies need liability coverage but depending on your circumstances, you may also need additional insurance. http://www.insurance.ca.gov/CSD/Ins4sbo.htm Investigate Capital Requirements. Some entrepreneurs may only need a computer to get started while others may need fixtures, display cases and tools. If you have a limited budget, consider leasing or purchasing equipment at auctions.
A “Receta” is a recipe for success developed by Black Butterfly Consulting. REC indicates that a more detailed checklist on that topic is available at www.black-butterfly.com
Protect Your Proprietary Information. An original work is copyrighted as soon as it is composed. However, to protect yourself further you may want to file it with the Copyright Office or patent it. Even though business names and slogans have limited protection by “in-use”, it may be wise to consult a trademark attorney and register your name for a fee. http://www.copyright.gov/ or http://www.uspto.gov Guide Your Vision with a Business Plan. There are companies that have succeeded without a business plan but most businesses succumb to the old adage “if you fail to plan, you plan to fail.” Sometimes entrepreneurs are intimidated with the time and resources it takes to develop a detailed document that articulates their goals and how they will achieve them. The recommended method is to partner with a business development consultant to assist you with individual aspects of your plan such as outlining, researching or critiquing. They could also develop the entire project based on your input. http://www.black-butterfly.com REC Establish a Formal Accounting System. Keeping an accurate record of your revenue and expenses from the beginning will ease reconciliation during tax time. Detailed record-keeping demonstrates organization and legitimacy to potential creditors, vendors and customers. You could retain an accountant or manage your transactions with a software program such as Quicken or Quickbooks. http://www.entrepreneur.com/article/0,4621,267048,00.html
Quicken is to Quickbooks as Individual is to Businesses.
Develop a Marketing Strategy. How will you introduce your company? What is your theme? Tone? Who will you target? What are your advertising needs? Who can you collaborate with? These are some of the topics that your marketing plan will outline. If you take time to develop your brand, your business cards, flyers, and advertisements will have a consistent look. Develop an Online Presence. The design for your web site depends on your objective. If the goal is to generate sales via ecommerce, you should focus on creating an easy-to-use, secure shopping experience. If your objective is to disseminate information about your company, captivate the user and convey the benefits they will receive. The primary task is to register your domain name, find a reputable web host, and hire a web developer if you do not want to design your own site. REC Determine Staffing Needs. Depending on your business needs, you may be able to work with independent contractors to avoid the financial responsibility of an employee during the start-up phase. To reduce your administrative tasks, you could outsource your payroll or utilize an employment agency. It may be easy to hire but difficult to fire so invest time to make sure the person is a good fit to help you achieve your goals. http://www.dol.gov/index.htm Envision the Grand Opening. The excitement of hanging your business license or framing your first dollar may inspire you throughout the process. Whether it is online or a traditional storefront, celebrate your introduction to the market place!
A “Receta” is a recipe for success developed by Black Butterfly Consulting. REC indicates that a more detailed checklist on that topic is available at www.black-butterfly.com
Visit www.blackbutterfly.com and click on Resources for links to business development sites.
© 2005 black butterfly consulting 888.364.4222